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Paid childcare

Discuss everything related to paid childcare here, including childminders, nannies, nurseries and au pairs.

Contract of Employment for Nanny

9 replies

GinandChocolate · 01/02/2010 13:52

Nanny has looked after DS and DD for the last 6 years. However am now divorced from DCs father.

Nanny has been brilliant for the last 2 years - adapting to the change and making everything work for all of us. DCs spend alternate weeks with each parent and Nanny works wherever DCs are.

I have new DP and exH has girlfriend who is likely to become permanent fixture when he moves to a new house in 2-3 months time. ExH has been living in marital home but this is now being sold. At this point financial arrangements between us will be minimal other than cost of Nanny and shared school fees.

This seems like a good time to sort out a new contract of employment for Nanny but not sure how best to do it. Are we really a Nanny Share as she effectively has 2 employers? Anyone have any experience of this?

OP posts:
nannynick · 01/02/2010 15:23

Interesting setup. Is one person responsible for paying your nanny, or are you and your exH both paying nanny alternate weeks?

MrA may be best to ask for advice regarding best tax situation to be - if it's still possible to be one employer, rather than 2 for example. I think there is a small NI saving if it's two employers (see here) but it means running two payrolls, so that could offset the saving.

It isn't a nannyshare in my view as it isn't caring for children from Family A and Family B at the same time... the children remain the same in your case. It's the venue that changes.

Strix · 01/02/2010 21:32

Can't you just write one contract and put both of your names on it? Whilst we are still maried, DH and I are both listed as nanny's employement contract. I assume financial arrangements are amicable and neither of you expects the other to do a runner.

I suppose you could write into the contract that you and xhusband are each responsible for 50% of the bill.

As nanny has been fab through divorce and that is indeed fab of her to to stick with you through a divorce I would put the burden of sorting out the finances on you and not her.

mranchovy · 02/02/2010 01:37

As NN says there is a NI saving if there are two employments: if you are paying more than £220 it is £26 a week (50% for the nanny, 50% for you) so not insignificant.

This is not a clear-cut case and you would need to make sure that all the evidence points towards 2 separate employments. That means 2 contracts for sure, and you will need to go through a redundancy consultation process because her 'old' position will no longer exist, but you can offer her a new part time position. These letters will be important evidence that you no longer employ her full-time: her other potential new job working for your DH is nothing to do with this of course.

If either you or she are not happy with this, it would work fine with just one employment too of course, just amend the current contract to suit with the employer being 'Mrs Jill Parent and Mr Jack Ex-husband acting jointly.

I must say that it is a credit to you and your ex as parents that you can deal with this so well, and you are certainly lucky to have a nanny that is able to act as a stablising factor for your children. Make sure she is happy with all of this, and if you weren't considering a pay rise, I'd give her at least the £13 a week you will be saving in Employers NI!

Strix · 02/02/2010 08:33

MrA, why is it that OP and not her X is making nanny redundant? Assuming they are both listed on existing contract as her employers, would they not be making her redundant together and then employing her separately.

This sounds awfully complicated to me. I would continue with one contract if both OP and her X are happy to do so. But, would probably make a note of who is reponsible for what portion of the pay. And everyone sign one contract.

GinandChocolate · 02/02/2010 08:45

Thanks everyone. From all of your comments, I think its best to stay with one contract and just update that to reflect both of us as her employers and two places of work etc.

In general arrangements are amicable and the Court Order from the divorce covers joint responsibility for costs associated with paying the Nanny. We pay half each because we both earn similar amounts

I think we might run into difficulties if either party was to have children in their new relationship. But we will have to cross that bridge if we come to it.

OP posts:
Strix · 02/02/2010 08:51

I might also put into the contract that things like disciplinary action, performance reviews, etc. are to be handled jointly with you and XH. I'm just thinking you might want to protect yourself against say new wife deciding your XH should fire the nanny or change some other employment conditions without your consent. And this would of course protect XH from the same happening on your end.

Just as a precaution. Not suggesting his new girlfriend would do such a thing.

GinandChocolate · 02/02/2010 09:03

LOL at Strix comment on new girlfriend - no she is very unlikely to do this as Nanny makes her life very easy - not sure she was ready to take on 2 kids so unlikely to want to do it without help. But the point is a very good one.

OP posts:
Strix · 02/02/2010 11:33

But, she might decide on different help. Or she might decide to ask nanny to do something you don't want her to do. Everyone parents in different way, includng girlfriends, stepmums, etc.

Things could get very complicated. Just think you should establish in the contract that you and XH are the joint employers and neither can change the contract without the other's consent.

mranchovy · 03/02/2010 00:52

Sorry, I forgot to watch this thread, so...

Strix you are right, I didn't find the right words to describe this complicated situation - they are currently joint employers and so (if they had decided on two separate employments going forward) they would be making her redundant together and then employing her separately.

But GinandChocolate it looks as though you prefer the simpler to manage option of one employment - in your position I would probably do the same.

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